RISHI Sunak will today unleash the biggest state building splurge in 65 years in a bid to rebuild left behind Britain.
The Chancellor will dole out an eye-watering extra £100bn on new roads, railways, housing, broadband, and research.
The vast array of nationwide projects will start delivering on the PM’s election promise to level up struggling parts of the country, he will tell MPs.
Mr Sunak’s spending spree takes the Government’s infrastructure investment total to £600billion between now and 2025.
It was last night dubbed by the Treasury as “the most ambitious investment in infrastructure and innovation ever”, and pushes public investment to its highest levels in real terms since 1955.
At the same time, the Chancellor will unveil a major overhaul of Treasury rules on government spending.
New rules will ensure money is spent where it has the greatest impact on levelling up, rather than just on where it is the most profitable, such as the South East.
'NO REGION WILL BE LEFT BEHIND'
Mr Sunak said last night: “This is a Budget for people right across the country – no region will be left behind.
“We have listened and will now deliver on our promise to level up the UK, ensuring everyone has the same chances and opportunities in life, wherever they live.
“By investing historic amounts in British innovation and world-class infrastructure, we will rebalance opportunities and lay the foundations for a decade of growth for everybody.”
Another move expected in today’s Budget is £600 million in tax breaks for firms that invest in their skills base and expand in a move to boost Britain’s poor productivity.
The Chancellor is expected to confirm the Structures and Building Allowance will go up from 2 to 3 per cent – meaning firms will be able to offset capital gains tax on the purchase or leasing of more building space.
And the tax credit rate that firms get on their corporation tax bill for investing in Research and Development is poised to be lifted from 12 to 13 per cent.
But it was still unclear last night whether both measures will take effect from this year as promised in the Tory manifesto or whether they will now be delayed by a year.
Source: Read Full Article